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Housing Consumers Protection Measures Act, 1998 (Act No. 95 of 1998)

Chapter VI : Miscellaneous Matters

23. Council Advisory Committee

 

 

1) The Minister shall appoint a Council Advisory Committee on National Home Builder Registration Council Matters within two years of the commencement of this Act.

 

2) The Council Advisory Committee shall consist of at least three but not more than seven members, including a chairperson.

 

3) The Minister shall ensure that the Council Advisory Committee consists of persons having skills and experience regarding housing consumer protection, insurance, competition and regulation matters, and construction dispute resolution.

 

4) The members of the Council Advisory Committee shall be appointed only after-
a) the Minister has through the media and by notice in the Gazette invited applications for the respective positions; and
b) the Minister has consulted with the MEC of every province and the parliamentary committees for housing of the National Assembly and the National Council of Provinces.

 

5) The Director-General may pay to a member of the Council Advisory Committee, who is not in the full-time employ of the State or an organ of state, from money appropriated by Parliament for that purpose, the allowances which the Minister may determine in general or in a specific case, in consultation with the Minister of Finance.

 

6) A member of the council Advisory Committee shall hold office for the period that the Minister may determine and shall be eligible for reappointment upon the expiration of the period of his or her office.

 

7) Section 4(4), (5) and (6) shall, with the necessary changes, apply to the Council Advisory Committee.

 

8) The Council Advisory Committee shall in respect of witnesses and their evidence have the powers of a commission duly appointed under the Commissions Act, 1947 (Act No. 8 of 1947).

 

9) The Council Advisory Committee shall, after consultation with the funds advisory committee, after five years from the date of commencement of this Act, submit proposals to the Council, for recommendation to the Minister, regarding-
a) the feasibility of introducing a requirement that a home builder’s obligations in terms of section 13(2)(b) shall be insured by an insurer exempted from the provisions of the Insurance Act, 1943 (Act No. 27 of 1943);
b) the availability of catastrophic loss insurance to reinsure the exposure of an insurer contemplated in paragraph (a);
c) differentiation between inspection and administration fees payable to the Council and premiums payable to an insurer contemplated in paragraph (a);
d) the relevant categories of homes in respect of which such insurance shall be required;
e) measures to ensure the availability of actuarial and risk related information in order to enable all insurers wishing to participate, to participate;
f) the conversion of any fund into an insurer contemplated in paragraph (a), registered under section 21 of the Companies Act, 1973;
g) measures to ensure that insurers contemplated in paragraph (a) shall compete on an equal basis;
h) measures to avoid adverse selection and discriminatory practices and to ensure that home builders from historically disadvantaged backgrounds shall not be prejudiced;
i) the contribution by insurers contemplated in paragraph (a) to the operational costs of the Council; and
j) any other relevant matter.

 

10) Subject to subsection (9) and section 5, the Minister may refer any matter in respect of any objective or provision of this Act to the Council Advisory Committee for investigation and recommendation.